Ahead of the Reserve Bank of India’s (RBI) monetary policy meeting (MPC) on June 5, Bank of India (BOI), Union Bank of India (UBI), Yes Bank, and IndusInd Bank revised their fixed deposit (FD) interest rates. The market is expected to remain volatile in the coming days as all eyes are on the outcome of national elections on June 4, when votes will be counted. The last phase of polling is held today for 57 Lok Sabha seats across eight states and union territories.

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Here are the details of the interest rate revisions during the week ending June 1, 2024.

Bank of India (BOI):

The bank has launched a new FD for ‘666 days’ this week,offering senior citizens up to 7.80 per cent interest rate, and super senior citizens7.95 per cent. It includes 0.50 per cent and 0.65 per cent additional rates for seniors and super seniors, respectively, over the rates for general public. The rates are effective June 1, 2024.The rates for senior citizens for other tenures are as follows:

• 6.0 per cent for 180 days to 269 days
• 6.25 per cent for 270 days to less than a year
• 7.30 per cent for one year to less than two year, except for the 666-day FD
• 7.80 per cent for 666 days
• 7.30 per cent for two years
• 7.25 per cent for over two years to less than five years
• 6.75 per cent for five years to 10 years

Super seniors will get an additional 0.15 per cent over these rates.

Union Bank of India (UBI):

Union Bank revised the FD rates on June 1, 2024, offering a maximum of 7.75 per cent, including the extra 0.50 per cent interest rate, to senior citizens. Super senior citizens get an additional 0.75 per cent over the rates for the general public. The rates for senior citizens and super senior citizens (in bracket) are as follows:

• 7.25 per cent (7.50 per cent) for 1 year to less than 398 days
• 7.75 per cent (8.00 per cent) for 399 days
• 7.00 per cent (7.25 per cent) for 400 days to 998 days
• 6.90 per cent (7.15 per cent) for 999 days; and
• 7.00 per cent (7.25 per cent) for tenures between more than 1,000 days and 10 years

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YES Bank:

The private sector bank revised the rates on May 30, 2024, offering the maximum of 8.50 per cent to senior citizens. The rates for seniors after the revision are as follows:

• 7.75 per cent for 1 year
• 8.00 per cent for 1 year one day to less than 18 months
• 8.50 per cent for 18 months
• 8.25 per cent for 18 months one day to less than 24 months
• 7.75 per cent for 24 months to less than 36 months
• 8.00 per cent for 36 months to 60 months; and
• 7.75 per cent for 60 months one day to 120 months

IndusInd Bank:

After its rate revision on May 27, 2024, the bank provides a maximum of 8.25 per cent to seniors. The rates are as follows:

• 8.25 per cent for tenures between one year and two years
• 7.75 per cent for above two years to below two years and sixmonths
• 8.25 per cent for two years six months to below two years seven months
• 7.75 per cent for two years to less than 61 months; and
• 7.50 per cent for 61 months and above

The bank offers compounding interest every quarter, so to reap the benefit, one should invest at least for six months in the FDs.